The Bernard Baruch College Zicklin School of Business Department of Economics & Finance Finance 4710 – Section FMWA/PMWA Advanced Investments Analysis Spring 2023 Instructor: Prof. Yud Izhakian Office: VC 10-236 yehuda.izhakian@baruch.cuny.edu This course syllabus is subject to changes. Mask Safety: Wearing an appropriate mask over the nose and mouth is highly recommended during the entire in-person meetings. Meetings: Mondays: mostly in-person; depending on the class material, some meetings will be online-synchronous on Blackboard Wednesdays: online-synchronous on Blackboard Exams: In-person Course Description: This course provides an intensive analysis of several advanced topics in investments. It covers investment valuation and analysis in some depth, with special emphasis on relevant cash flows, risk analysis, and valuation approaches. It covers investment management of stock and bond portfolios, performance measurement, and evaluation. Special topics include hedge fund strategies, management and evaluation, introduction to financial risk management, and the development and uses of financial derivatives and securitization. Textbook: Essentials of Investments. Bodie, Kane, and Marcus, 12th Edition. Financial Calculator: Texas Instruments BAII Plus is the suggested brand, though you can use any other model. Chapters & Dates (subject to change): Office Hours: Exam: 12, 13, 14, 15 Monday: 8:00AM – 9:00AM (by appointment) You are expected to read the textbook carefully. You are expected to go over it carefully, retracing all the steps and the numerical problems already solved in the textbook. You are also required to obtain a financial calculator. Attendance will be taken during the classes. Even though it is not formally graded, excessive absences may affect your course grade. Sign in only in the section in which you are enrolled. Signing in and leaving the class or signing in for someone else is not allowed. 1 Class attendance and class participation will be encouraged and may be helpful for students (for example, up to 5% of the course grade may be redistributed for that purpose). The College’s attendance policy is to consider a student present if only she/he is in class at the beginning of the class and remains present through to the end of the class. Students who arrive more than 15 minutes after class has started will be counted as absent. Students who leave the classroom for extended periods of time will be counted as absent. If illness should force you to miss a class, exam, or deadline, please contact me beforehand. An equation sheet may be provided for your use on the exams. Any use of cell phones, laptops and PDAs is completely prohibited during in-person meetings. In particular, students should NOT place their cell phones on the desk during class. A first violation of the cell phone policy will result in a reduction of the final score by 5%. The next violation shall result in dropping the student from the class and a grade of “WU”. When you attend the class, you are expected to show up on time and stay for the whole class. You are expected to participate in class discussions. If you are engaged during the classes, the learning process will become easier and more fun. Text messaging and/or using portable email devices of any kind is not allowed. All these rules should be followed out of respect for other people in the classroom. Textbook slides will be posted on the BlackBoard as an extra resource. They are not substitutes for reading the book. All course-related material and announcements will be posted on BlackBoard. Remember to check it regularly, and make sure your email address listed on BlackBoard is correct (so you can receive the announcements by email). Exam dates will be announced in class. Rules for the exam • Exams will be closed book. • You will need your financial calculator during the exam. In addition, you are free to use any other scientific calculator, but smartphones or any other electronic devices are absolutely prohibited during the exams. • If you are late for an exam, you will still have time only until the end of the regular exam time. • NO make-up exam for the Midterm. If you miss the Midterm, its weight will be added to the final’s weight in the grading. • NO online make-up exams • If you miss the final exam, the make-up final will be proctored by the department sometime in the next semester (assuming you have a valid excuse). • These rules complement the standard rules of the School/College/University. Grading: Listed below are the grade weights for each course item and the official letter grades: Semester project: Exam: 50% 50% 2 Letter Grade GPA Value Grade Scale A 4.0 93.0–100.0 A- 3.7 B+ Letter Grade GPA Value Grade Scale C+ 2.3 77.1–79.9 90.0–92.9 C 2.0 73.0–77.0 3.3 87.1–89.9 C- 1.7 70.0–72.9 B 3.0 83.0–87.0 D+ 1.3 67.1–69.9 B- 2.7 80.0–82.9 D 1.0 60.0–67.0 F 0.0 Below 60 Important notice I fully support Baruch College's policy on Academic Honesty which states, in part: "Academic dishonesty is unacceptable and will not be tolerated. Cheating, forgery, plagiarism and collusion in dishonest acts undermine the college's educational mission and the students' personal and intellectual growth. Baruch students are expected to bear individual responsibility for their work, to learn the rules and definitions that underlie the practice of academic integrity, and to uphold its ideals. Ignorance of the rules is not an acceptable excuse for disobeying them. Any student who attempts to compromise or devalue the academic process will be sanctioned. " Academic sanctions in this class will range from an F on the assignment to an F in this course. A report of suspected academic dishonesty will be sent to the Office of the Dean of Students. Additional information and definitions can be found at http://www.baruch.cuny.edu/academic/academic_honesty.html 3 TENTATIVE COURSE OUTLINE A. Security Analysis (for Term Project) Bodie, Kane, Marcus Chapters 12, 13, 14, and Teaching Notes. B. Derivative Markets Bodie, Kane, Marcus Chapters 15, 16, 17 and Teaching Notes. C. Active Investment Management Bodie, Kane, Marcus Chapters 18, 19, 20, and Teaching Notes. D. Taxes, Inflation, and Investment Strategy Bodie, Kane, Marcus Chapters 21, 22, and Teaching Notes. E. Special Topics: Introduction to Financial Risk Management and Risk Management and Investments Teaching Notes. Securitization Teaching Notes. 4 Securitization.
